Notices - 76 FR 26243 - Initiation of Anticircumvention Inquiry on by wulinqing


									                                                                                              Federal Register / Vol. 76, No. 88 / Friday, May 6, 2011 / Notices                                                                                        26243

                                                version of the I&D Memo can be                                            Final Results of Review                                                    would be likely to lead to continuation
                                                accessed directly on the Web at http://                                                                                                              or recurrence of dumping at the
                                       The paper copy and                                      The Department determines that                                           following weighted-average margins:
                                                electronic version of the I&D Memo are                                    revocation of the antidumping duty
                                                identical in content.                                                     order on paper clips from the PRC

                                                                                                                    Manufacturers/exporters/producers                                                                                            average margin

                                                Shanghai Lansheng Corporation .....................................................................................................................................................                       57.64
                                                Zhejiang Light Industrial Products Import & Export Corporation ....................................................................................................                                       46.01
                                                Zhejiang Machinery and Equipment Import & Export Corporation .................................................................................................                                            60.70
                                                PRC-wide Rate ................................................................................................................................................................................           126.94

                                                Notification Regarding Administrative                                     of Antidumping Order: Ferrovanadium                                        completed or assembled in the United
                                                Protective Order                                                          and Nitrided Vanadium From the                                             States from parts or components
                                                  This notice also serves as the only                                     Russian Federation, 60 FR 35550 (July                                      produced in Russia; (3) the process of
                                                reminder to parties subject to                                            10, 1995).                                                                 converting vanadium pentoxide to
                                                administrative protective order (‘‘APO’’)                                 DATES: Effective Date: May 6, 2011.                                        ferrovanadium in the United States is
                                                of their responsibility concerning the                                    FOR FURTHER INFORMATION CONTACT:                                           minor or insignificant; and (4) the value
                                                return or destruction of proprietary                                      David Goldberger or Rebecca Trainor,                                       of the Russian vanadium pentoxide
                                                information disclosed under APO in                                        AD/CVD Operations, Office 2, Import                                        constitutes a significant portion of the
                                                accordance with 19 CFR 351.305.                                           Administration, International Trade                                        value of the finished ferrovanadium
                                                Timely notification of the return or                                      Administration, U.S. Department of                                         sold in the United States. Accordingly,
                                                destruction of APO materials or                                           Commerce, 14th Street and Constitution                                     AMG Vanadium requests that the
                                                conversion to judicial protective order is                                Avenue, NW., Washington, DC 20230;                                         Department include within the scope of
                                                hereby requested. Failure to comply                                       telephone: (202) 482–4136 or (202) 482–                                    the ferrovanadium order vanadium
                                                with the regulations and terms of an                                      4007, respectively.                                                        pentoxide manufactured in Russia,
                                                APO is a violation which is subject to                                                                                                               regardless of form, that is produced,
                                                                                                                          SUPPLEMENTARY INFORMATION:
                                                sanction.                                                                                                                                            exported, or imported by the Evraz
                                                  We are issuing and publishing the                                       Background                                                                 Group or any of its affiliates.
                                                results and notice in accordance with                                        On February 25, 2011, AMG                                                  In response to the Department’s
                                                sections 751(c), 752(c), and 777(i)(1) of                                 Vanadium submitted a request that the                                      March 9, 2011, request, on March 16,
                                                the Act.                                                                  Department initiate an                                                     2011, AMG Vanadium provided
                                                  Dated: April 26, 2011.                                                  anticircumvention inquiry (AMG                                             additional information pertinent to its
                                                Paul Piquado,                                                             Request), pursuant to section 781(a) of                                    anticircumvention inquiry request
                                                                                                                          the Tariff Act of 1930, as amended (the                                    (March 16 Submission).
                                                Acting Deputy Assistant Secretary for Import
                                                Administration.                                                           Act), and 19 CFR 351.225(c) and (g), to                                       On March 25, 2011, the Evraz Group
                                                [FR Doc. 2011–11126 Filed 5–5–11; 8:45 am]                                determine whether imports of vanadium                                      filed comments opposing AMG
                                                                                                                          pentoxide from Russia that is processed                                    Vanadium’s circumvention allegation
                                                BILLING CODE 3510–DS–P
                                                                                                                          into ferrovanadium in the United States                                    on the grounds that the Department is
                                                                                                                          are circumventing the antidumping duty                                     legally precluded from including
                                                DEPARTMENT OF COMMERCE                                                    order on ferrovanadium from Russia.                                        vanadium pentoxide in the scope of the
                                                                                                                          Specifically, AMG Vanadium alleges                                         order. The Evraz Group included in its
                                                International Trade Administration                                        that the Evraz Group 1 is importing                                        submission calculations performed
                                                                                                                          vanadium pentoxide, an intermediate                                        using a cost-based methodology, as an
                                                                                                                          product used in the production of                                          alternative to the value-based
                                                Initiation of Anticircumvention Inquiry                                   ferrovanadium, from its Russian affiliate                                  methodology used by AMG Vanadium,
                                                on Antidumping Duty Order on                                              OAO Vanady-Tula. The imported                                              arguing that AMG Vandium’s approach
                                                Ferrovanadium and Nitrided Vanadium                                       vanadium pentoxide is then toll-                                           leads to misleading results. Between
                                                From the Russian Federation                                               converted into ferrovanadium in the                                        April 1 and 22, 2011, AMG Vanadium
                                                                                                                          United States by an unaffiliated                                           and the Evraz Group submitted
                                                AGENCY:   Import Administration,                                          processor (which never takes title), prior                                 additional comments with respect to
                                                International Trade Administration,                                       to sale in the United States. AMG                                          whether the Department should initiate
                                                Department of Commerce.                                                   Vanadium alleges that this trade pattern                                   this anticircumvention inquiry. The
                                                SUMMARY: In response to a request from                                    is circumventing the antidumping duty                                      Department met with representatives of
                                                AMG Vanadium, Inc. (AMG Vanadium),                                        order within the meaning of section                                        AMG Vanadium and the Evraz Group on
                                                the Department of Commerce (the                                           781(a) of the Act.                                                         March 3, and April 5, 2011,
                                                Department) is initiating an                                                 AMG Vanadium further claims that:                                       respectively, to discuss the request.
emcdonald on DSK2BSOYB1PROD with NOTICES

                                                anticircumvention inquiry to determine                                    (1) The ferrovanadium sold in the
                                                whether imports of vanadium pentoxide                                                                                                                Scope of the Order
                                                                                                                          United States is of the same class or
                                                from the Russian Federation (Russia)                                      kind of merchandise as the                                                   The products covered by the
                                                that is converted into ferrovanadium in                                   ferrovanadium that is subject to the                                       antidumping duty order are
                                                the United States are circumventing the                                   order; (2) the ferrovanadium is                                            ferrovanadium and nitrided vanadium,
                                                antidumping duty order on                                                                                                                            regardless of grade, chemistry, form or
                                                ferrovanadium and nitrided vanadium                                         1 The Evraz Group includes OAO Vanady-Tula,                              size, unless expressly excluded from the
                                                (ferrovanadium) from Russia. See Notice                                   East Metals S.A., and East Metals N.A.                                     scope of this order. Ferrovanadium

                                           VerDate Mar<15>2010         17:26 May 05, 2011         Jkt 223001      PO 00000       Frm 00005        Fmt 4703      Sfmt 4703       E:\FR\FM\06MYN1.SGM              06MYN1
                                                26244                             Federal Register / Vol. 76, No. 88 / Friday, May 6, 2011 / Notices

                                                includes alloys containing                              merchandise was initially excluded                    the United States. Hence, the ITC would
                                                ferrovanadium as the predominant                        from the scope of the order.                          generally advise as to whether the parts
                                                element by weight (i.e., more weight                       The Evraz Group argues that                        or components taken as a whole fall
                                                than any other element, except iron in                  including vanadium pentoxide within                   within the injury determination.’’ 4
                                                some instances) and at least 4 percent                  the scope of the antidumping duty order                  This is consistent with the Federal
                                                by weight of iron. Nitrided vanadium                    would be inconsistent with the                        Circuit’s opinions reviewing the
                                                includes compounds containing                           International Trade Commission’s (ITC)                Department’s anticircumvention
                                                vanadium as the predominant element,                    injury investigation, and the legal                   inquiries. Although Wheatland Tube
                                                by weight, and at least 5 percent, by                   precedent in Wheatland Tube Co. v.                    and Nippon Steel dealt with the minor
                                                weight, of nitrogen. Excluded from the                  United States, 161 F.3d 1365, 1370 (Fed.              alteration provision (section 781(c) of
                                                scope of the order are vanadium                         Cir. 1998) (Wheatland Tube).                          the Act), rather than the provision for
                                                additives other than ferrovanadium and                  Specifically, the Evraz Group argues                  merchandise completed in the United
                                                nitrided vanadium, such as vanadium-                    that the ITC expressly excluded                       States (section 781(a) of the Act) at issue
                                                aluminum master alloys, vanadium                        vanadium pentoxide from the scope of                  here, the Court’s analysis is instructive.
                                                chemicals, vanadium waste and scrap,                    the injury investigation at the request of            In Wheatland Tube, the Court held that
                                                vanadium-bearing raw materials, such                    the domestic industry. In Wheatland                   ‘‘the line and dual-certified pipe accused
                                                as slag, boiler residues, fly ash, and                  Tube, the Evraz Group asserts, the Court              of circumventing the Standard Pipe
                                                vanadium oxides.                                        ruled that the domestic industry cannot               Orders is the same pipe that the orders
                                                  The products subject to this order are                seek to broaden the scope after having                expressly exclude.’’ Wheatland Tube,
                                                currently classifiable under subheadings                made representations to the ITC that the              161 F. 3d at 1369. In contrast, in Nippon
                                                2850.00.20, 7202.92.00, 7202.99.50.40,                  product at issue was not a like product               Steel, the Court held that ‘‘Commerce
                                                8112.40.30.00, and 8112.40.60.00 of the                 for purposes of the injury                            was performing a function Congress has
                                                Harmonized Tariff Schedule of the                       determination; and that although the                  given to it—to determine whether an
                                                United States (HTSUS). Although the                     Department may interpret and clarify                  antidumping duty order has been
                                                HTSUS subheadings are provided for                      the scope of the antidumping duty                     circumvented by making minor
                                                convenience and customs purposes, our                   orders, it may not change or interpret                alterations in the form of the product
                                                written description of the scope is                     them contrary to their terms.                         otherwise subject to that order.’’ Nippon
                                                dispositive.                                               The Department addressed this issue                Steel, 219 F. 3d at 1354. The Court’s
                                                                                                        in the Initiation of Anticircumvention                analysis allowed that a circumvention
                                                Scope of the Anticircumvention Inquiry                  Inquiry on Antidumping and                            inquiry is proper where, but for an act
                                                   The product subject to this                          Countervailing Duty Orders on Hot-                    meant to circumvent the order, the
                                                anticircumvention inquiry is vanadium                   Rolled Lead and Bismuth Carbon Steel                  product would be covered (contrast the
                                                pentoxide (V2O5) from Russia, which is                  Products from the United Kingdom and                  carbon steel in Nippon Steel with the
                                                usually in a granular form and may                      Germany, 62 FR 34213 (June 25, 1997)                  line pipe in Wheatland Tube). Here, the
                                                contain other substances, including                     (Lead and Bismuth). In that case, the                 covered product is ferrovanadium and
                                                silica (SiO2), manganese, and sulfur, and               Department concluded that the theory                  the alleged act meant to circumvent the
                                                which is converted into ferrovanadium                   that parts expressly excluded from the                order on ferrovanadium from Russia is
                                                in the United States. Such merchandise                  scope of an antidumping order cannot                  further processing in the United States.
                                                is classifiable under subheading                        be subject to an anticircumvention                    For these reasons, we determine that the
                                                2825.30.0010 of the HTSUS.                              inquiry is contrary to, and would                     Evraz Group’s arguments do not provide
                                                   As noted above, interested parties                   undermine, the core principles of the                 a legal basis for rejecting AMG
                                                have filed comments concerning the                      anticircumvention statute. Citing the                 Vanadium’s application for an
                                                initiation of this anticircumvention                    legislative history, we observed that                 anticircumvention inquiry pursuant to
                                                inquiry. Although vanadium pentoxide                    Congress intended to allow                            section 781(a) of the Act.
                                                is excluded from the scope of the order,                anticircumvention inquiries into parts
                                                                                                        or components that meet the criteria of               Initiation of Anticircumvention
                                                AMG Vanadium argues that the
                                                                                                        section 781(a), as ‘‘{t}he underlying                 Proceeding
                                                Department’s regulations and legal
                                                precedent allow for the Department to                   rationale of the anticircumvention                    Applicable Statute
                                                consider expressly-excluded                             statute is that, where the criteria of
                                                                                                        section 781(a) are met, the parts and                    Section 781(a) of the Act provides that
                                                merchandise in an anticircumvention                                                                           the Department may find circumvention
                                                proceeding. AMG Vanadium cites Steel                    components subject to the finding of
                                                                                                        circumvention are, in all meaningful                  of an antidumping duty order when
                                                Wire Rope from Mexico; Affirmative                                                                            merchandise of the same class or kind
                                                Final Determination of Circumvention                    respects, being imported as the subject
                                                                                                        merchandise, not as parts or                          subject to the order is completed or
                                                of Antidumping Duty Order, 60 FR                                                                              assembled in the United States. In
                                                10831 (February 28, 1995) and several                   components per se. The processing in
                                                                                                        the United States is of such a minor or               conducting anticircumvention inquiries
                                                cases decided by the Court of Appeals                                                                         under section 781(a)(1) of the Act, the
                                                for the Federal Circuit (the Court),2 in                insignificant nature as to be
                                                                                                        irrelevant.’’ 3 Thus, ‘‘{t}he application of          Department relies upon the following
                                                support of its contention that                                                                                criteria: (A) Merchandise sold in the
                                                anticircumvention determinations are                    the U.S. finishing or assembly provision
                                                                                                        will not require new injury findings as               United States is of the same class or
                                                distinguished from conventional scope                                                                         kind as any other merchandise that is
                                                determinations, in that the criteria the                to each part or component. The
emcdonald on DSK2BSOYB1PROD with NOTICES

                                                                                                        anticircumvention provision is intended               the subject of an antidumping duty
                                                Department considers in making an                                                                             order produced in a foreign country that
                                                anticircumvention determination do not                  to cover efforts to circumvent an order
                                                                                                        by importing disassembled or                          is subject to an antidumping duty order;
                                                include whether the imported                                                                                  (B) such merchandise sold in the United
                                                                                                        unfinished merchandise for assembly in
                                                  2 See, e.g., Nippon Steel Corp. v. United States,
                                                                                                                                                              States is completed or assembled in the
                                                219 F.3d 1348 (Fed. Cir. 2000) (Nippon Steel); and        3 See, H.R. Conf. Rep. No. 576, 100th Cong., 2d     United States from parts or components
                                                Target Corp. v. United States, 609 F.3d 1352 (July      Sess. 603 (1988) and Lead and Bismuth, 62 FR
                                                23, 2010).                                              34213, 34215.                                           4 Id.

                                           VerDate Mar<15>2010   17:26 May 05, 2011   Jkt 223001   PO 00000   Frm 00006   Fmt 4703   Sfmt 4703   E:\FR\FM\06MYN1.SGM    06MYN1
                                                                                  Federal Register / Vol. 76, No. 88 / Friday, May 6, 2011 / Notices                                           26245

                                                produced in the foreign country with                    ‘‘minor and insignificant’’ as the term is            than those necessary for vanadium
                                                respect to which the antidumping duty                   defined in section 781(a)(2) of the Act               pentoxide production.
                                                order applies; (C) the process of                       when compared to the complex and
                                                                                                                                                              (5) Value of Processing in the United
                                                assembly or completion in the United                    capital-intensive process involved in
                                                                                                                                                              States Compared to Value of the
                                                States is minor or insignificant; and (D)               producing vanadium pentoxide. AMG
                                                                                                                                                              Merchandise Sold in the United States
                                                the value of the parts or components                    Vanadium’s analysis of the statutory
                                                referred to in (B) is a significant portion             factors to determine whether the process                 To support its contention that the
                                                of the total value of the merchandise. As               is minor or insignificant in accordance               value of the processing performed in the
                                                discussed below, AMG Vanadium                           with section 782(a)(2) of the Act follows             United States is a small portion of the
                                                presented evidence with respect to these                below.                                                total value of the merchandise sold in
                                                criteria.                                                                                                     the United States, AMG Vanadium
                                                                                                        (1) Level of Investment                               calculated the difference between the
                                                A. Merchandise of the Same Class or                       AMG Vanadium asserts that the                       value of ferrovanadium sold in the
                                                Kind                                                    processing of vanadium pentoxide into                 United States, and the value of the
                                                  AMG Vanadium states that the                          ferrovanadium, as discussed in the                    vanadium pentoxide consumed to
                                                merchandise sold in the United States is                AMG Request,5 is neither complex nor                  produce the ferrovanadium. For this
                                                ferrovanadium. As this merchandise is                   capital-intensive and does not require                calculation, AMG Vanadium based the
                                                covered by the scope of the                             extensive production facilities.                      value of ferrovanadium on the monthly
                                                antidumping duty order, the                             Accordingly, AMG Vanadium contends                    average of the U.S. market prices for
                                                merchandise is of the same class or kind                that the level of investment for                      ferrovanadium with 80 percent
                                                as the merchandise subject to the                       ferrovanadium conversion from                         vanadium content, as published in the
                                                antidumping duty order.                                 vanadium pentoxide is low relative to                 metals industry publication Ryan’s
                                                                                                        the level of investment associated with               Notes. Similarly, AMG Vanadium based
                                                B. Completion of Merchandise in the                                                                           the value of vanadium pentoxide on the
                                                United States                                           vanadium pentoxide production.
                                                                                                                                                              monthly average of the U.S. market
                                                   AMG Vanadium alleges that                            (2) Level of Research and Development                 prices for vanadium pentoxide
                                                vanadium pentoxide produced in Russia                     AMG Vanadium states that the                        published in Ryan’s Notes, and then
                                                is imported into the United States and                  process for converting vanadium                       calculated the total value of vanadium
                                                further processed into ferrovanadium.                   pentoxide into ferrovanadium as                       pentoxide required to produce one unit
                                                According to AMG Vanadium, the                          performed by the toll-processor Bear is               of ferrovanadium with 80 percent
                                                Russian vanadium pentoxide is                           unchanged since the initiation of the                 vanadium content. In its calculations,
                                                converted into ferrovanadium by Bear                    underlying antidumping duty                           AMG Vanadium added an amount to the
                                                Metallurgical Company (Bear), a toll                    investigation in 1994. Accordingly,                   vanadium pentoxide price to represent
                                                processor unaffiliated with the Evraz                   AMG Vanadium believes the level of                    the estimated cost of freight from the
                                                Group. AMG Vanadium believes that                       research and development in the United                U.S. port to the processing facility. AMG
                                                Evraz Group member, East Metals NA,                     States for converting vanadium                        Vanadium calculated a ratio of the
                                                retains title to the merchandise during                 pentoxide into ferrovanadium is low.                  differences between the two sets of
                                                the toll conversion. See AMG Request at                                                                       prices to average ferrovanadium prices,
                                                pages 5–7, and March 16 Response at                     (3) Nature of the Production Process in               and found that the average annual value
                                                pages 6–10.                                             the United States                                     for processing vanadium pentoxide into
                                                                                                           The production processes for both                  ferrovanadium ranged from 6.5 to
                                                C. Minor or Insignificant Process                       vanadium pentoxide and ferrovanadium                  approximately 7 percent of the value of
                                                   AMG Vanadium asserts that the                        are detailed in the AMG Request, as                   finished ferrovanadium during 2009,
                                                process of converting vanadium                          referenced above. AMG Vanadium                        and approximately 15 to 15.8 percent in
                                                pentoxide into ferrovanadium is a                       maintains that the process of converting              2010. See AMG Request at pages 12–14
                                                limited and minor process as compared                   vanadium pentoxide into ferrovanadium                 and Exhibits 17 and 18, and March 16
                                                to the production process for vanadium                  is limited and minor as compared to the               Response at pages 13–18 and Exhibit 10.
                                                pentoxide. See AMG Request at pages                     process of manufacturing vanadium                     D. Value of Merchandise Produced in
                                                7–10, and Exhibits 13–15 for a detailed                 pentoxide.                                            the Foreign Country Is a Significant
                                                discussion of the two production
                                                                                                        (4) Extent of Production Facilities in the            Portion of the Value of the Merchandise
                                                   AMG Vanadium argues that an                          United States                                         Sold in the United States
                                                analysis of the relevant statutory factors                 AMG Vanadium asserts that,                           As stated above, AMG Vanadium
                                                of section 781(a)(2) of the Act supports                consistent with its description of the                contends that the value of the
                                                its conclusion that the processing in the               production process, the conversion of                 processing performed in the United
                                                United States is ‘‘minor or insignificant.’’            vanadium pentoxide requires minimal                   States represents a minor portion of the
                                                These factors include: (1) The level of                 capital equipment. At Exhibit 16 of the               value of the completed merchandise.
                                                investment in the United States; (2) the                AMG Request, AMG Vanadium                             Therefore, that analysis necessarily
                                                level of research and development in                    provided overhead photos comparing                    implies that the value of the Russian-
                                                the United States; (3) the nature of the                the extensive size of the Evraz Group’s               origin vanadium pentoxide consumed to
                                                production process in the United States;                vanadium pentoxide production facility                produce ferrovanadium is a significant
emcdonald on DSK2BSOYB1PROD with NOTICES

                                                (4) the extent of production facilities in              with the considerably smaller                         portion of the total value of the
                                                the United States; and (5) whether the                  ‘‘footprint’’ of Bear’s toll-processing               merchandise sold in the United States.
                                                value of the processing performed in the                facility in order to support its                      AMG Vanadium estimates the value of
                                                United States represents a small                        contention that the facilities necessary              the Russian vanadium pentoxide
                                                proportion of the value of the                          for processing vanadium pentoxide into                consumed to produce ferrovanadium to
                                                merchandise sold in the United States.                  ferrovanadium are significantly smaller               be 84 percent or greater of the value of
                                                   AMG Vanadium argues that the                                                                               the ferrovanadium sold in the United
                                                processing in the United States is                        5 See   AMG Request at 7–11.                        States (i.e., the difference between the

                                           VerDate Mar<15>2010   17:26 May 05, 2011   Jkt 223001   PO 00000   Frm 00007   Fmt 4703   Sfmt 4703   E:\FR\FM\06MYN1.SGM   06MYN1
                                                26246                             Federal Register / Vol. 76, No. 88 / Friday, May 6, 2011 / Notices

                                                total value of the ferrovanadium sold in                Subsequent Import Volume                              imported from Russia is a ‘‘minor or
                                                the United States and the value of the                    Under section 781(a)(3)(C) of the Act,              insignificant process,’’ AMG Vanadium
                                                U.S. conversion described above). See                   the Department shall take into account                addressed the relevant statutory factors
                                                AMG Request at page 14.                                 whether imports into the United States                used to determine whether the
                                                                                                        of the parts or components produced in                processing of vanadium pentoxide is
                                                E. Factors To Consider in Determining                                                                         minor or insignificant with the best
                                                Whether Action Is Necessary                             the foreign country have increased after
                                                                                                        the initiation of the investigation, which            information available to it at the time of
                                                  Section 781(a)(3) of the Act identifies                                                                     its anticircumvention inquiry request.
                                                                                                        resulted in the issuance of the order,
                                                additional factors that the Department                                                                        AMG Vanadium relied on publicly-
                                                                                                        when making a decision in an
                                                shall consider in the Department’s                                                                            available information for this purpose.
                                                                                                        anticircumvention case. As described
                                                decision to include parts or components                                                                       As AMG noted in the March 16
                                                                                                        above, AMG Vanadium reports that
                                                in an antidumping duty order as part of                                                                       Response at pages 10–12, it does not
                                                                                                        imports of vanadium pentoxide from
                                                an anticircumvention investigation.                                                                           have access to the Evraz Group’s cost or
                                                                                                        Russia have risen from zero from 1995
                                                These factors are discussed below.                                                                            price data regarding vanadium
                                                                                                        to 2004, to approximately 2,680 MT in
                                                                                                                                                              pentoxide and ferrovanadium prices,
                                                Pattern of Trade, Including Sourcing                    2010.
                                                                                                                                                              and therefore relied on the Ryan’s Notes
                                                Patterns                                                Analysis                                              price comparisons to demonstrate that,
                                                   AMG Vanadium explains in the AMG                        Based on our analysis of the AMG                   quantitatively, the value of the
                                                Request that, following the imposition                  Request and the March 16 Response, the                vanadium pentoxide conversion in the
                                                of the antidumping duty order in 1995,                                                                        United States is minor or insignificant.
                                                                                                        Department determines that a formal
                                                imports of ferrovanadium from Russia                                                                             Based on our analysis of the
                                                                                                        anticircumvention inquiry is warranted.
                                                ceased in total by 1997. Since 2005,                                                                          information in AMG Vanadium’s
                                                                                                        In accordance with 19 CFR 351.225(e),                 submissions, we find that AMG
                                                however, imports of vanadium                            if the Department finds that the issue of             Vanadium provided sufficient evidence
                                                pentoxide from Russia have increased                    whether a product is included within                  for each of the criteria enumerated in
                                                from 27 MT in 2005, to 450 MT in 2006,                  the scope of an order cannot be                       the statute to initiate an
                                                to 2,680 MT in 2010. At the same time,                  determined based solely upon the                      anticircumvention inquiry. As AMG
                                                AMG Vanadium states that the average                    request and the descriptions of the                   Vanadium acknowledged, the price
                                                unit value of the vanadium pentoxide                    merchandise, the Department will notify               information derived from Ryan’s Notes
                                                imports, according to U.S. import                       by mail all parties on the Department’s               is based on price observations for
                                                statistics, has decreased by half. AMG                  scope service list of the initiation of a             domestic and imported products and,
                                                Vanadium concludes that this                            scope inquiry, including an                           thus, is not limited to the Russian-
                                                information demonstrates that the                       anticircumvention inquiry. In addition,               sourced vanadium pentoxide or U.S.-
                                                pattern of trade has shifted from imports               in accordance with 19 CFR                             converted ferrovanadium at issue.
                                                of ferrovanadium from Russia to an                      351.225(f)(1), a notice of the initiation of          However, AMG Vanadium explained
                                                increasing flow of vanadium pentoxide                   an anticircumvention inquiry issued                   that the Ryan’s Notes prices are widely
                                                from Russia that is converted into                      under 19 CFR 351.225(e) will include a                used in price negotiations in the
                                                ferrovanadium in the United States.                     description of the product that is the                industry and fairly represent the value
                                                Affiliation                                             subject of the anticircumvention                      of ferrovanadium and vanadium
                                                                                                        inquiry—in this case, vanadium                        pentoxide in the United States,
                                                   Under section 781(a)(3)(B) of the Act,               pentoxide from Russia that is converted               regardless of source, and are the best
                                                the Department shall take into account                  into ferrovanadium in the United                      information available to AMG
                                                whether the manufacturer or exporter of                 States—and an explanation of the                      Vanadium regarding the value of the
                                                the parts or components is affiliated                   reasons for the Department’s decision to              imported input and the finished
                                                with the person who assembles or                        initiate an anticircumvention inquiry, as             product. See March 16 Response at
                                                completes the merchandise sold in the                   provided below.                                       pages 10–15.
                                                United States from the parts or                            With regard to whether the                            AMG Vanadium also acknowledged
                                                components produced in the foreign                      merchandise sold in the United States is              certain inconsistent fluctuations in the
                                                country when making a decision in an                    of the same class or kind as the                      pricing spread between vanadium
                                                anticircumvention case. As described                    merchandise covered by the                            pentoxide and ferrovanadium according
                                                above and in the AMG Request, AMG                       antidumping duty order, AMG                           to the Ryan’s Notes prices listed for
                                                Vanadium states that the Evraz Group,                   Vanadium presented information                        certain months in Exhibit 18 of the
                                                through its affiliates, produces                        indicating that the merchandise sold in               AMG Request. AMG Vanadium asserted
                                                vanadium pentoxide in Russia, ships                     the United States, ferrovanadium, is of               that these short-term fluctuations do not
                                                and imports it into the United States,                  the same class or kind as ferrovanadium               adversely affect the reliability of using
                                                has it converted into ferrovanadium by                  from Russia, which is subject to the                  the difference between the published
                                                an unaffiliated company while                           antidumping duty order.                               Ryan’s Notes market prices for
                                                maintaining title to the product, and                      With regard to completion of                       ferrovanadium and vanadium pentoxide
                                                sells the completed ferrovanadium to                    merchandise in the United States, AMG                 over a longer period of time to
                                                customers in the United States.                         Vanadium has also presented                           determine the value of the U.S.
                                                Accordingly, AMG Vanadium maintains                     information to support its contention                 processing. We note that the
emcdonald on DSK2BSOYB1PROD with NOTICES

                                                that the manufacturer, exporter, and                    that ferrovanadium sold in the United                 inconsistent price fluctuations occurred
                                                U.S. importer of the Russian vanadium                   States is produced from vanadium                      in 2009, when vanadium pentoxide
                                                pentoxide, as well as the party                         pentoxide imported into the United                    imports from Russia were much lower
                                                overseeing the conversion process and                   States from Russia which is further                   than during 2010 (see Exhibit 2 of the
                                                ultimate sale of the ferrovanadium, are                 processed in the United States.                       ACI Request). According to AMG
                                                all under the common ownership and                         With regard to whether the                         Request Exhibit 18 and March 16
                                                control of a single entity, the Evraz                   conversion of ferrovanadium in the                    Response Exhibit 10, the price spread
                                                Group.                                                  United States from vanadium pentoxide                 between vanadium pentoxide and

                                           VerDate Mar<15>2010   17:26 May 05, 2011   Jkt 223001   PO 00000   Frm 00008   Fmt 4703   Sfmt 4703   E:\FR\FM\06MYN1.SGM   06MYN1
                                                                                  Federal Register / Vol. 76, No. 88 / Friday, May 6, 2011 / Notices                                                  26247

                                                ferrovanadium was more stable during                    at issue, entered or withdrawn from                   Room 4053, 1401 Constitution Ave,
                                                2010, and provides reasonable support                   warehouse for consumption on or after                 NW., Washington, DC 20230. (Phone:
                                                for AMG Vanadium’s contention that                      the date of initiation of the inquiry.                202–482–4877; Fax: 202–482–5665;
                                                the value of processing vanadium                           The Department is focusing its                     e-mail: This
                                                pentoxide into ferrovanadium may be                     analysis of the significance of the                   meeting is physically accessible to
                                                considered minor or insignificant for                   ferrovanadium production process in                   people with disabilities. Requests for
                                                purposes of initiating this                             the United States based on the entries of             sign language interpretation or other
                                                anticircumvention inquiry. At the same                  vanadium pentoxide produced in Russia                 auxiliary aids should be directed to
                                                time, we acknowledge the Evraz Group’s                  by OAO Vanady-Tula that are imported                  OEEI at (202) 482–5225 no less than one
                                                comments regarding the use of this                      by or consigned to any company in the                 week prior to the meeting.
                                                pricing information and an alternative,                 Evraz Group, as discussed in the AMG                  SUPPLEMENTARY INFORMATION: This is the
                                                cost-based comparison methodology for                   Request and about which sufficient                    first meeting of the newly appointed
                                                determining whether the value of                        information to initiate an                            committee. The meeting will take place
                                                processing vanadium pentoxide into                      anticircumvention inquiry has been                    from 9 a.m. to 3:30 p.m. This meeting
                                                ferrovanadium in the United States is                   provided. If the Department receives a                is open to the public and time will be
                                                minor or insignificant. We will consider                request from an interested party                      permitted for public comment from
                                                this issue further during our                           regarding potential circumvention by                  3–3:30 p.m. Written comments
                                                anticircumvention inquiry.                              other companies involved in processing                concerning ETTAC affairs are welcome
                                                   With respect to the value of the                     Russian vanadium pentoxide into                       any time before or after the meeting.
                                                merchandise produced in Russia, AMG                     ferrovanadium in the United States                    Minutes will be available within 30
                                                Vanadium relied on the information and                  within sufficient time, we will consider              days of this meeting.
                                                arguments in the ‘‘minor or insignificant               conducting the inquiries concurrently.                   Background: The ETTAC is mandated
                                                process’’ portion of its                                   The Department will, following                     by Public Law 103–392. It was created
                                                anticircumvention request to indicate                   consultation with interested parties,                 to advise the U.S. government on
                                                that the value of the Russian vanadium                  establish a schedule for questionnaires               environmental trade policies and
                                                pentoxide is significant relative to the                and comments on the issues. The                       programs, and to help it to focus its
                                                total value of finished ferrovanadium                   Department intends to issue its final                 resources on increasing the exports of
                                                sold in the United States. We find that                 determination within 300 days of the                  the U.S. environmental industry.
                                                this information adequately meets the                   date of publication of this initiation
                                                requirements of this factor, as discussed                                                                        ETTAC operates as an advisory
                                                                                                        consistent with section 781(f) of the Act.            committee to the Secretary of Commerce
                                                above.                                                     This notice is published in
                                                   Finally, AMG Vanadium argued that                                                                          and the Trade Promotion Coordinating
                                                                                                        accordance with 19 CFR 351.225(f).
                                                the Department should also consider the                                                                       Committee (TPCC). ETTAC was
                                                                                                          Dated: May 2, 2011.                                 originally chartered in May of 1994. It
                                                pattern of trade, affiliation, and
                                                                                                        Ronald K. Lorentzen,                                  was most recently re-chartered until
                                                subsequent import volume as factors in
                                                determining whether to initiate the                     Deputy Assistant Secretary for Import                 October 2012.
                                                anticircumvention inquiry. The import                                                                         Edward A. O’Malley,
                                                                                                        [FR Doc. 2011–11121 Filed 5–5–11; 8:45 am]
                                                volume data submitted by AMG                                                                                  Director, Office of Energy and Environmental
                                                Vanadium indicates that vanadium                        BILLING CODE 3510–DS–P
                                                pentoxide imports from Russia have                                                                            [FR Doc. 2011–11051 Filed 5–5–11; 8:45 am]
                                                increased significantly in recent years,
                                                while imports of ferrovanadium from                     DEPARTMENT OF COMMERCE                                BILLING CODE 3510–DR–P

                                                Russia ceased within a few years after                  International Trade Administration
                                                imposition of the antidumping duty                                                                            DEPARTMENT OF COMMERCE
                                                order. In addition, AMG Vanadium                        Environmental Technologies Trade
                                                provided information suggesting that                    Advisory Committee Public Meeting                     International Trade Administration
                                                the Evraz Group, through its various
                                                affiliates, is managing the importation of              AGENCY: International Trade
                                                vanadium pentoxide from Russia, the                     Administration, DOC.
                                                processing of this vanadium pentoxide                   ACTION: Notice of Federal Advisory                    Magnesium Metal From the Russian
                                                into ferrovanadium in the United States,                Committee Meeting.                                    Federation: Preliminary Results of
                                                and the sale of the ferrovanadium in the                                                                      Antidumping Duty Administrative
                                                                                                        SUMMARY:  This notice sets forth the
                                                United States, which together reflect an                                                                      Review
                                                                                                        schedule and proposed agenda of a
                                                intention to shift to the United States
                                                                                                        meeting of the Environmental                          AGENCY:  Import Administration,
                                                completion of merchandise subject to
                                                                                                        Technologies Trade Advisory                           International Trade Administration,
                                                the order on ferrovanadium from Russia.
                                                   Accordingly, we are initiating an                    Committee (ETTAC).                                    Department of Commerce.
                                                anticircumvention inquiry concerning                    DATES: The meeting is scheduled for                   SUMMARY: In response to timely
                                                the antidumping duty order on                           Thursday, June 16, 2011, at 9 a.m.                    requests, the Department of Commerce
                                                ferrovanadium from Russia, pursuant to                  Eastern Daylight Time (EDT).                          (the Department) is conducting an
                                                section 781(a) of the Act. In accordance                ADDRESSES: The meeting will be held in                administrative review of the
emcdonald on DSK2BSOYB1PROD with NOTICES

                                                with 19 CFR 351.225(l)(2), if the                       Room 4830 at the U.S. Department of                   antidumping duty order on magnesium
                                                Department issues a preliminary                         Commerce, Herbert Clark Hoover                        metal from the Russian Federation for
                                                affirmative determination, we will then                 Building, 1401 Constitution Ave., NW.,                the period of review (POR) April 1,
                                                instruct U.S. Customs and Border                        Washington, DC 20230.                                 2009, through March 31, 2010. The
                                                Protection to suspend liquidation and                   FOR FURTHER INFORMATION CONTACT: Mr.                  review covers two respondents, PSC
                                                require a cash deposit of estimated                     Todd DeLelle, Office of Energy &                      VSMPO–AVISMA Corporation
                                                duties, at the applicable rate, for each                Environmental Industries (OEEI),                      (AVISMA) and Solikamsk Magnesium
                                                unliquidated entry of the merchandise                   International Trade Administration,                   Works (SMW).

                                           VerDate Mar<15>2010   17:26 May 05, 2011   Jkt 223001   PO 00000   Frm 00009   Fmt 4703   Sfmt 4703   E:\FR\FM\06MYN1.SGM   06MYN1

To top